(A question of similar vein has been asked before but both the question and the accepted answer do not provide the detail I am looking for)
With the
Typically, you will choose different identity for worker process (or do ASP.NET impersonation) because there is need to access local/network resources that needs specific permissions. Obvious dis-advantage is that your application code may run under more permissions than it may need and thereby increasing the vulnerability against malicious attacks.
ASP.NET impersonation would have more overhead because user context needs be switched for each request. I will suggest to go with separate app pool approach - only disadvantage with app pool approach is that you have process for each one of them and so there will be overhead (from OS perspective) for each process. If your applications are smaller and don't have strong memory demands then this should not be an issue,